U.S. Dec. leading indicators down 0.2% vs 0.4% dip in Nov.
By Ruth Mantell
Last update: 10:00 a.m. EST Jan. 18, 2008
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WASHINGTON (MarketWatch) -- Growth could slow and further weaken in the first half of the year, the Conference Board said Friday, reporting that a gauge of future economic growth fell 0.2% in December - its third consecutive decline. Analysts had expected a decline of 0.1% for the index of leading economic indicators. The index declined 0.4% in November. Only four of the 10 leading economic indicators rose in December, with the largest positive contribution from vendor performance, while building permits were the largest negative contributor. The coincident indicator index, which measures where the economy is at present, has continued a steady upward trend, though its growth has slowed in the fourth quarter, according to the report. Overall, the leading index has "weakened sharply" since mid-2007, "with widespread weakness" in the last two months, according to the report. "Taken together, the recent behavior of the composite indexes highlights increasing risks for further economic weakness, and suggest that economic activity is likely to be sluggish in the near term," according to the report.